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91_HB4610 LRB9112338DJpc 1 AN ACT to amend the Illinois Public Aid Code by changing 2 Section 5-5.4 and repealing Article V-E. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Illinois Public Aid Code is amended by 6 changing Section 5-5.4 as follows: 7 (305 ILCS 5/5-5.4) (from Ch. 23, par. 5-5.4) 8 Sec. 5-5.4. Standards of Payment - Department of Public 9 Aid. The Department of Public Aid shall develop standards of 10 payment of skilled nursing and intermediate care services in 11 facilities providing such services under this Article which: 12 (1) Provides for the determination of a facility's 13 payment for skilled nursing and intermediate care services on 14 a prospective basis. The amount of the payment rate for all 15 nursing facilities certified under the medical assistance 16 program shall be prospectively established annually on the 17 basis of historical, financial, and statistical data 18 reflecting actual costs from prior years, which shall be 19 applied to the current rate year and updated for inflation, 20 except that the capital cost element for newly constructed 21 facilities shall be based upon projected budgets. The 22 annually established payment rate shall take effect on July 1 23 in 1984 and subsequent years. Rate increases shall be 24 provided annually thereafter on July 1 in 1984 and on each 25 subsequent July 1 in the following years, except that no rate 26 increase and no update for inflation shall be provided on or 27 after July 1, 1994 and before July 1, 2000, unless 28 specifically provided for in this Section. 29 For facilities licensed by the Department of Public 30 Health under the Nursing Home Care Act as Intermediate Care 31 for the Developmentally Disabled facilities or Long Term Care -2- LRB9112338DJpc 1 for Under Age 22 facilities, the rates taking effect on July 2 1, 1998 shall include an increase of 3%. For facilities 3 licensed by the Department of Public Health under the Nursing 4 Home Care Act as Skilled Nursing facilities or Intermediate 5 Care facilities, the rates taking effect on July 1, 1998 6 shall include an increase of 3% plus $1.10 per resident-day, 7 as defined by the Department. 8 For facilities licensed by the Department of Public 9 Health under the Nursing Home Care Act as Intermediate Care 10 for the Developmentally Disabled facilities or Long Term Care 11 for Under Age 22 facilities, the rates taking effect on July 12 1, 1999 shall include an increase of 1.6% plus $3.00 per 13 resident-day, as defined by the Department. For facilities 14 licensed by the Department of Public Health under the Nursing 15 Home Care Act as Skilled Nursing facilities or Intermediate 16 Care facilities, the rates taking effect on July 1, 1999 17 shall include an increase of 1.6% and, for services provided 18 on or after October 1, 1999, shall be increased by $4.00 per 19 resident-day, as defined by the Department. 20 Rates established effective each July 1 shall govern 21 payment for services rendered throughout that fiscal year, 22 except that rates established on July 1, 1996 shall be 23 increased by 6.8% for services provided on or after January 24 1, 1997, and except that for those facilities with rates less 25 than the actual, audited costs, rates established on July 1, 26 2000 shall be increased to no less than the lower of the 27 average costs in the facility's geographic area as defined by 28 the Department or the facility's actual audited, adjusted 29 costs. In no case shall a facility's July 1, 2000 rate be 30 less than its July 1, 1999 rate. The repeal of Article V-E 31 by this amendatory Act of the 91st General Assembly shall 32 have no effect on the rates paid to facilities. Such rates 33 will be based upon the rates calculated for the year 34 beginning July 1, 1990, and for subsequent years thereafter -3- LRB9112338DJpc 1 shall be based on the facility cost reports for the facility 2 fiscal year ending at any point in time during the previous 3 calendar year, updated to the midpoint of the rate year. The 4 cost report shall be on file with the Department no later 5 than April 1 of the current rate year. Should the cost 6 report not be on file by April 1, the Department shall base 7 the rate on the latest cost report filed by each skilled care 8 facility and intermediate care facility, updated to the 9 midpoint of the current rate year. In determining rates for 10 services rendered on and after July 1, 1985, fixed time shall 11 not be computed at less than zero. The Department shall not 12 make any alterations of regulations which would reduce any 13 component of the Medicaid rate to a level below what that 14 component would have been utilizing in the rate effective on 15 July 1, 1984. 16 (2) Shall take into account the actual costs incurred by 17 facilities in providing services for recipients of skilled 18 nursing and intermediate care services under the medical 19 assistance program. 20 (3) Shall take into account the medical and 21 psycho-social characteristics and needs of the patients. 22 (4) Shall take into account the actual costs incurred by 23 facilities in meeting licensing and certification standards 24 imposed and prescribed by the State of Illinois, any of its 25 political subdivisions or municipalities and by the United 26 States Department of Health, Education and Welfare pursuant 27 to Title XIX of the Social Security Act. 28 The Department of Public Aid shall develop precise 29 standards for payments to reimburse nursing facilities for 30 any utilization of appropriate rehabilitative personnel for 31 the provision of rehabilitative services which is authorized 32 by federal regulations, including reimbursement for services 33 provided by qualified therapists or qualified assistants, and 34 which is in accordance with accepted professional practices. -4- LRB9112338DJpc 1 Reimbursement also may be made for utilization of other 2 supportive personnel under appropriate supervision. 3 (Source: P.A. 90-9, eff. 7-1-97; 90-588, eff. 7-1-98; 91-24, 4 eff. 7-1-99.) 5 (305 ILCS 5/Art. V-E rep.) 6 Section 6. The Illinois Public Aid Code is amended by 7 repealing Article V-E. 8 Section 99. Effective date. This Act takes effect upon 9 becoming law.